HRMCAR › Salaries and Benefits
Summary of Conditions of Service for Established Staff Members
The following information is in summarised form intended for general guidance only. The conditions of service in force for permanent members of staff are detailed in the Staff Manual.
Appointments to the staff are made by an offer letter. Appointments are initially for a fixed term duration.
The basic salary is specified in the offer letter and is payable in euros, as are all other allowances (family allowances, expatriation and installation). Emoluments (basic salary and allowances) are payable in arrears, with the exception of the installation allowance which is payable on taking up duty.
Emoluments are exempt from taxation in most Member countries of the Organisation, including France.
Income tax in the United States: A specific article (article 3) of the tax reimbursement agreement between the USA and the OECD excludes from the US tax reimbursement programme all OECD official who are liable to pay income tax in the United States and whose post is financed, partially or in total, from voluntary contribution or grants (be it from US or from other sources). OECD officials as defined above are informed that, as the US tax reimbursement programme does not apply to them, the OECD is not in a position to reimburse any tax paid by them to the US.
Income tax in Canada: Officials of Canadian nationality serving at OECD headquarters are exempt on French soil, of income tax on the emoluments they received from the OECD. However, cases may arise in which some officials of Canadian nationality, despite serving in France, are considered by the Canadian tax authorities to have kept their ordinary place of residence in Canada and are therefore held to be liable to income tax in Canada.
Family allowances comprise a head of household allowance paid under certain conditions, an allowance for each dependent person as recognised by the Organisation and other than the spouse.
Household allowance: If you have one or more dependents, this allowance will be paid at a rate of 6% of your basic monthly salary. If you are married with no dependents, this allowance may be granted subject to the amount of earned income of your spouse (up to a maximum of 6% of your basic monthly salary).
Dependent child allowance (or dependent person other than spouse): Children are considered dependent if they are under the age of 18, or up until the age of 26 if they are in full-time education.
Expatriate allowance: The expatriation allowance is payable to staff members who do not hold French nationality under certain conditions.
Expatriation child allowance: This is paid if you receive the expatriation and the dependent child allowance. It may be replaced by the education allowance (75% reimbursement of real expenses subject to a ceiling).
The installation allowance is payable only to staff members whose initial appointment is for more than 12 months duration and who do not have a residence in the Paris area at the time of their appointment..
Annual leave and holidays
Annual leave amounts to two and a half working days for each month of service. Working days (8 hours per day) are Monday to Friday inclusive, and French public holidays are observed.
Staff members who are entitled to the expatriation allowance are entitled, once every two years, to an additional eight working days' home leave, for which their travel expenses are met by the Organisation; in the case of staff members who receive the household allowance, travel for spouses and dependent children are also met by the Organisation, subject to a ceiling.
The Medical and Social System of the OECD
The OECD has an excellent and comprehensive medical and social scheme. This includes paid sick leave and paid maternity leave. The healthcare insurance covers staff members and their families.
All staff members are required to subscribe to the Medical and Social System of the Organisation (OMESYS). Contributions are deducted automatically from monthly emoluments at the rate of 2.5% of basic salary for health care. Compulsory death and invalidity insurance contributions are deducted at the rate of 0.45% of total emoluments.
All staff members are required to subscribe to the Pension Scheme at the rate of 9.3% of their basic salary.
The maximum age for retirement is 65, but staff members are entitled from the age of 63, and after at least 10 years of service, to a pension amounting to 2% of the final basic salary per year of service up to a maximum of 70 per cent for 35 years of service. A reduced pension can be paid to retiring staff members from the age of 51.
Staff members leaving the Organisation before completing 10 years of service are entitled to a leaving allowance (instead of a pension) calculated at 2.25 times the rate of the personal contributions as applied to the last annual salary (monthly salary multiplied by twelve), multiplied by the number of reckonable years of service. In case of successive rates of contribution, these are applied pro rata temporis.
The regulations provide for other benefits in the case of disablement and death.
Travelling and removal expenses
Travel expenses of a staff member related to taking up duty at OECD Headquarters and on termination of appointment are reimbursable. Under certain conditions the staff member's family travel expenses may be reimbursed. (Please check with the Client Services Groups as to which members of your family qualify for travel reimbursement.)
On the same occasion, and under certain conditions, the cost of removal of furniture and other personal effects is paid by the Organisation.
Staff members receiving an expatriation allowance may transfer through the Organisation up to 50% of their total emoluments to the country of which they are nationals or to their country of residence at the time of appointment